Doing Business with Iraq

A comprehensive guide to doing business, exporting, investing, and manufacturing in Iraq.

Foreign Direct Investment with the International Trade Council / Company Incorporation / Company Formation

Albanian Investment Development Agency

Tel: +355 42 251 001
Email: info@aida.gov.al
Web: www.aida.gov.al

null

General Directorate of Customs

Albania General Directorate of Customs - International Trade Council

 

Tel: +355 42 253 820
Email: helpdesk.dpd@dogana.gov.al
Web: www.dogana.gov.al

National Chamber of Commerce

Albanian Chamber of Commerce and Industry

Albanian Chamber of Commerce and Industry - International Trade Council

Tel: +355 45 800 932
Email: cci.tirana@cci.al
Web: www.cci.al

Ministry of Economy Information from the International Trade Council - a Peak-body - international chamber of commerce

Ministry of Finance and Economy, Albania

  • Type of Government: Federal Parliamentary Republic
  • Population: Approximately 44 million
  • GDP: Around $224 billion USD
  • Corporate Tax Rate: 15%
  • Personal Income Tax Rate: 3% to 15%
  • Major Exports: Crude oil, natural gas, chemicals
  • Major Imports: Machinery, food, medicine

 

Exporting to Iraq involves several key steps. Here’s a comprehensive guide:

  1. Research Market Requirements

    • Understand Iraq’s import regulations and standards for your product.
    • Check for any product-specific certifications needed.
  2. Identify Local Partners

    • Establish relationships with local distributors or agents in Iraq.
  3. Prepare Export Documentation

    • Include commercial invoices, packing lists, and certificates of origin.
    • Ensure compliance with Iraqi labeling and packaging requirements.
  4. Arrange Logistics and Shipping

    • Choose a reliable shipping company experienced with exports to Iraq.
    • Ensure accurate completion of shipping documents, such as bills of lading.
  5. Customs Declaration

    • Work with a customs broker to facilitate the clearance process.
    • Pay any necessary duties and taxes.
  6. Understand Duties and Taxes

    • Familiarize yourself with Iraq’s import duties and applicable taxes.
  7. Distribution and Sales

    • Establish distribution channels within Iraq.
    • Consider partnerships with local businesses for effective market penetration.

Key Contacts

Importing goods into Iraq involves several steps. Here’s a comprehensive guide:

  1. Obtain Required Licenses

    • Register as an importer with the Iraqi Ministry of Trade.
  2. Classify Your Goods

    • Determine the correct Harmonized System (HS) code for your products.
  3. Check Import Regulations and Restrictions

    • Ensure compliance with Iraq’s import regulations and any necessary permits or certifications.
  4. Find a Reliable Supplier

    • Establish a relationship with a trustworthy overseas supplier.
  5. Arrange Shipping and Logistics

    • Choose a reliable freight forwarder.
    • Ensure all shipping documents are in order.
  6. Customs Clearance

    • Work with a customs broker to handle the clearance process.
    • Submit required documents, such as the Bill of Lading and commercial invoice.
  7. Pay Duties and Taxes

    • Calculate and pay applicable import duties and taxes.
  8. Receive Your Goods

    • Arrange for the transportation of goods from the port to your warehouse.

Key Contacts

Incorporating a company in Iraq involves several steps. Here’s a comprehensive guide:

  1. Choose a Business Structure

    • Decide on the type of company (e.g., Limited Liability Company, Joint Stock Company).
  2. Reserve a Company Name

    • Check availability and reserve your company name with the Companies Registration Office.
  3. Draft the Articles of Association

    • Prepare the Articles of Association detailing company operations and management structure.
  4. Submit Registration Application

    • File the application along with required documents to the Companies Registration Office.
  5. Obtain Initial Approval

    • Receive approval for your company’s name and structure.
  6. Deposit Initial Capital

    • Open a bank account in the company’s name and deposit the minimum required capital.
  7. Register for Tax Identification

    • Obtain a tax identification number from the General Commission for Taxes.
  8. Publish in Official Gazette

    • Announce the establishment of the company in the Official Gazette.
  9. Complete Final Registration

    • Finalize registration with the Companies Registration Office and receive your registration certificate.

Costs

  • Registration Fees: Vary based on the company type and capital.
  • Legal Fees: If using a lawyer, costs will vary based on services.

Key Contacts

Setting up a manufacturing plant in Iraq involves several steps. Here’s a comprehensive guide:

  1. Conduct Market Research

    • Analyze demand, competition, and location advantages.
  2. Choose a Suitable Location

    • Consider proximity to raw materials, transportation, and workforce availability.
  3. Incorporate Your Company

    • Register your business with the Iraqi Companies Registration Office.
  4. Obtain Necessary Permits and Licenses

    • Apply for environmental, zoning, and construction permits.
    • Obtain specific industry-related licenses from the Ministry of Industry and Minerals.
  5. Secure Financing

    • Explore options through banks and investment partners.
  6. Design and Construct the Facility

    • Hire architects and contractors for design and construction.
    • Ensure compliance with local building codes and regulations.
  7. Install Equipment and Machinery

    • Purchase and set up machinery necessary for production.
    • Ensure safety and operational standards are met.
  8. Hire and Train Workforce

    • Recruit skilled labor and provide necessary training.
  9. Set Up Supply Chain and Distribution

    • Establish relationships with suppliers and distributors.
  10. Begin Operations

    • Start production and monitor operations for efficiency and quality control.

Key Contacts

Registering a trademark in Iraq involves several steps. Here’s a comprehensive guide:

  1. Conduct a Trademark Search

    • Ensure your trademark is unique and not already registered.
    • Use the Iraqi Trademark Office database.
  2. Prepare Your Application

    • Include details such as the trademark design, classification of goods/services, and applicant information.
  3. Submit the Application

    • File the application with the Iraqi Trademark Office.
  4. Pay the Application Fee

    • Fees vary based on the type and number of classes.
  5. Examination Process

    • The office examines the application for compliance and potential conflicts.
    • Respond to any objections or requests for additional information.
  6. Publication and Opposition

    • If approved, the trademark is published for opposition.
    • A period is provided for third parties to oppose the registration.
  7. Registration and Certification

    • If no oppositions arise, the trademark is registered.
    • Receive the Certificate of Registration.
  8. Maintain and Renew the Trademark

    • Trademarks are valid for 10 years and can be renewed indefinitely.
    • Submit renewal applications to maintain protection.

Costs

  • Application Fees: Vary depending on the number of classes and type.
  • Legal Fees: If using an attorney, costs will vary based on services.

Key Contacts

Resolving commercial disputes in Iraq involves several steps. Here’s a guide on the process:

  1. Attempt Negotiation

    • Begin by negotiating directly with the other party to reach an amicable solution.
  2. Mediation

    • Engage a mediator to facilitate discussions.
    • Mediation is often quicker and less formal than court proceedings.
  3. Arbitration

    • Consider arbitration for a private and binding resolution.
    • Follow the rules set by the Iraq Regional Arbitration Centre.
  4. Seek Legal Advice

    • Consult with a lawyer specializing in commercial law for guidance on your case.
  5. File a Lawsuit

    • If other methods fail, file a lawsuit in the appropriate civil court.
    • Prepare necessary documentation and evidence.
  6. Court Proceedings

    • Attend hearings and present your case.
    • Follow legal procedures as guided by your attorney.
  7. Judgment and Enforcement

    • If a judgment is made, ensure its enforcement through legal channels.

Costs

  • Mediation and Arbitration Fees: Vary depending on the service provider.
  • Court Filing Fees: Depend on the jurisdiction and case type; consult local courts.
  • Legal Fees: Vary based on the lawyer and complexity of the case.

Key Contacts

When considering doing business in Iraq, various social, cultural, political, and economic factors must be taken into account.

Social and Cultural Factors

  • Language: Arabic is the official language, with Kurdish also widely used in the Kurdistan region.
  • Business Etiquette: Building relationships and trust is crucial. Formal greetings and respect for hierarchy are important.

Political Factors

  • Government Structure: Federal parliamentary republic with ongoing political transitions.
  • Regulatory Environment: Subject to regional variations and evolving regulations.

Economic Factors

  • Growing Economy: Rich in oil reserves, with potential in agriculture and industry.
  • Foreign Exchange: The currency is the Iraqi Dinar (IQD). Be aware of exchange rate fluctuations and currency controls.

Rule of Law

  • Legal Framework: Comprehensive legal system with protection for property rights, though navigating it can be complex.
  • Judiciary: Independent but may experience delays and bureaucratic challenges.

Business Environment

  • Infrastructure: Developing, with ongoing investments in various sectors.
  • Workforce: Young and growing population with potential for skills development.

Key Resources

Our Members Include Leading Organizations in Iraq

Ask our Experts on Doing Business in/with Iraq

If you’re looking to do business or invest in Iraq, we can provide expert guidance, market insights, and valuable connections to help you navigate the local landscape. Contact us today to discover how we can assist in making your venture a success.